FSTA Value

Value is all about what a company is worth versus what price it is
available for. If you went into a grocery store and all the bananas were on sale
at half price, they could be considered
undervalued.

In this section, we usually try to help investors determine whether Fidelity Covington Trust - Fidelity MSCI Consumer Staples Index ETF is trading at an attractive price based on the cash flow it is expected to produce in the future. But as Fidelity Covington Trust - Fidelity MSCI Consumer Staples Index ETF has not provided consistent financial data, and the stock also has no analyst forecast or coverage, its intrinsic value cannot be reliably calculated by extrapolating past data or using analyst consensus cash flow predictions.

This is quite a rare situation as 89% of companies covered by Simply Wall St do have a valuation analysis. You can see them here.

Show me the analysis anyway

INTRINSIC VALUE BASED ON FUTURE CASH FLOWS

It is not possible to calculate the future cash flow value for
Fidelity Covington Trust - Fidelity MSCI Consumer Staples Index ETF. This is due to cash flow or dividend data being
unavailable. The share price is
$32.99.

PRICE RELATIVE TO MARKET

We can also value a company based on what the stock market is willing to pay for
it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing
when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for
Fidelity Covington Trust - Fidelity MSCI Consumer Staples Index ETF's
earnings,
growth
and
assets
is considered below, and whether this is a fair price.

Price based on past earnings

Are
Fidelity Covington Trust - Fidelity MSCI Consumer Staples Index ETF's earnings available for a low price, and how does
this compare to other companies in the same industry?

FSTA Future Performance

In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as Fidelity Covington Trust - Fidelity MSCI Consumer Staples Index ETF has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by Simply Wall St do have past financial data. You can see them here.

Show me the analysis anyway

The future performance of a company is measured in the same way as past
performance, by looking at estimated
growth
and how much profit it is expected to make.

Future estimates come from
professional analysts. Just like forecasting the weather, they don’t always get
it right!

Past and Future Earnings per Share

The accuracy of the analysts who estimate the future performance data can
be gauged below. We look back 3 years and see if they were any good at
predicting what actually occurred. We also show the highest and lowest estimates
looking forward to see if there is a wide range.

Future performance checks

Is the annual earnings growth rate expected to beat the low risk savings rate, plus a
premium to keep pace with inflation?

Is the annual earnings growth rate expected to beat the average growth rate in earnings of the United States of America market? (1 check)

Is the annual revenue growth rate expected to beat the average growth rate in revenue of the United States of America market? (1 check)

Is the annual earnings growth rate expected to be above 20%? (1 check)

Is the annual revenue growth rate expected to be above 20%? (1 check)

Is the Return on Equity in 3 years expected to be over 20%? (1 check)

Some of the above checks will fail if the company is expected to be loss making
in the relevant year.
Fidelity Covington Trust - Fidelity MSCI Consumer Staples Index ETF
has a total score of
0/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

FSTA Past Performance

In this section we usually display a company’s past earnings and revenues to help investors visualise the trend through time. We also gauge the company’s performance by benchmarking its returns and growth to its industry peers and the wider market. However, Fidelity Covington Trust - Fidelity MSCI Consumer Staples Index ETF has not provided sufficient past data to assess its track record.

This is quite a rare situation as 97% of companies covered by Simply Wall St do have historical data. You can see them here.

Earnings and Revenue History

All data from Fidelity Covington Trust - Fidelity MSCI Consumer Staples Index ETF Company Filings, last reported , and in
Trailing twelve months (TTM)
annual period rather than quarterly.

*GAAP earnings excluding extraordinary items.

Performance last year

We want to ensure a company is making the most of what it has available. This is
done by comparing the return (profit) to a company's available
funds,
assets
and
capital.

Unable to establish if Fidelity Covington Trust - Fidelity MSCI Consumer Staples Index ETF has efficiently used shareholders’ funds last year as no Return on Equity data is available.

Unable to establish if Fidelity Covington Trust - Fidelity MSCI Consumer Staples Index ETF has efficiently used its assets last year compared to the US Capital Markets industry average (Return on Assets) as past financial data has not been reported.

Unable to establish if Fidelity Covington Trust - Fidelity MSCI Consumer Staples Index ETF improved its use of capital last year versus 3 years ago (Return on Capital Employed) due to insufficient past data.

Past performance checks

Has the earnings growth in the last year exceeded that of the
Capital Markets
industry? (1 check)

Is the recent earnings growth over the last year higher than the average annual growth over the
past 5 years? (1 check)

Is the Return on Equity (ROE) higher than 20%? (1 check)

Is the Return on Assets (ROA) above industry average? (1 check)

Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)

The above checks will fail if the company has reported a loss in the most recent
earnings report. Some checks require at least 3 or 5 years worth of data.
Fidelity Covington Trust - Fidelity MSCI Consumer Staples Index ETF
has a total score of
0/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Balance sheet

This treemap shows a more detailed breakdown of
Fidelity Covington Trust - Fidelity MSCI Consumer Staples Index ETF's finances. If any of them are yellow this
indicates they may be out of proportion and red means they relate to one of the
checks below.

Assets

Liabilities and shares

The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.

Are earnings greater than 5x the interest on debt (if company pays interest
at all)? (1 check)

Fidelity Covington Trust - Fidelity MSCI Consumer Staples Index ETF
has a total score of
0/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:

Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)

Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)

Income/ dividend checks

Firstly is the company paying a notable dividend (greater than 0.8%) - if
not then the rest of the checks are ignored.

Is current dividend yield above the bottom 25% of dividend payers? (1 check)

Is current dividend yield above the top 25% of dividend payers? (1 check)

Have they paid a dividend for 10 years, and during this period has the
dividend been volatile (drop of more than 25%)? (1 check)

If they have paid a dividend for 10 years has it increased in this time? (1
check)

How sustainable is the dividend, can
Fidelity Covington Trust - Fidelity MSCI Consumer Staples Index ETF
afford to pay it from its earnings today and in 3 years (Payout ratio less than
90%)? (2 checks)

FSTA News

Simply Wall St News

FSTA Company Info

Description

Fidelity Covington Trust - Fidelity MSCI Consumer Staples Index ETF is an exchange traded fund launched by Fidelity Covington Trust. It is co-managed by BlackRock Fund Advisors, Fidelity SelectCo, LLC. The fund invests in public equity markets of the United States. The fund invests in stocks of companies operating across consumer staples sectors. It invests in growth and value stocks of companies across diversified market capitalization. The fund seeks to track the performance of the MSCI USA IMI Consumer Staples Index, by using representative sampling technique. Fidelity Covington Trust - Fidelity MSCI Consumer Staples Index ETF was formed on October 21, 2013 and is domiciled in the United States.

Simply Wall Street Pty Ltd (ACN 600 056 611), is a Corporate Authorised Representative (Authorised Representative Number: 467183) of Sanlam Private Wealth Pty Ltd (AFSL No. 337927). Any advice contained in this website is general advice only and has been prepared without considering your objectives, financial situation or needs. You should not rely on any advice and/or information contained in this website and before making any investment decision we recommend that you consider whether it is appropriate for your situation and seek appropriate financial, taxation and legal advice. Please read our Financial Services Guide before deciding whether to obtain financial services from us.